Motorola CEO Ed Zander has bowed out of a CTIA keynote scheduled for Tuesday, March 27. According to RCRWireless News neither Moto nor CTIA have given a reason for the cancellation, but it sure seems a bit fishy--since he waited until less than a week before the keynote to cancel.
It's no secret that Moto has had its share of bad news lately. Billionaire investor and former TWA chief Carl Icahn has been banging on the company's boardroom door since January, after he acquired a 1.39 percent stake in the company. Besides demanding his own seat on the board, he's also been urging the company to spend its $11.2 billion in cash to repurchase shares. Though Moto execs want to spend the cash to broaden the company's increasingly unexciting product line, Moto said Wednesday it would increase its share repurchase program to $7.5 billion in common stock.
Also this week, Moto said it expects a first quarter loss of 7 to 9 cents per share, due to decreased sales in its mobile device business. And this comes after a loss in the fourth quarter of last year. We've been saying for a while now that Moto needs something new beyond another variation of the Razr. Perhaps the company will surprise us at CTIA, but we'll have to wait and see. Oh, and CFO David Devonshire is out the door as of April 1.